Market News
2 min read | Updated on October 25, 2024, 15:30 IST
SUMMARY
As per stock exchange filing, HPCL reported a consolidated net profit of ₹142.67 crore in July-September -- the second quarter of the current 2024-25 fiscal year -- compared to a profit of ₹5,826.96 crore a year back.
Stock list
HPCL Q2 result: Net profit slumps 98% on fall in refining, fuel margin
HPCL reported a consolidated net profit of ₹142.67 crore in July-September -- the second quarter of the current 2024-25 fiscal year -- compared to a profit of ₹5,826.96 crore a year back, according to a stock exchange filing by the company.
Net profit also declined sequentially, when compared to an earning of ₹633.94 crore in the April-June period.
Pre-tax earnings from downstream fuel retailing businesses slumped to ₹1,285.96 crore from ₹6,984.60 crore in July-September 2023.
The company and other state-owned fuel retailers -- Indian Oil Corporation (IOC) and Bharat Petroleum Corporation Ltd (HPCL) -- had last year made extraordinary gains from holding petrol and diesel prices despite a drop in cost.
The price freeze was justified in the name of recovering losses BPCL and the other two retailers had suffered in the previous year when they did not raise retail prices despite a surge in cost.
The gains arising from the price freeze were eroded with petrol and diesel prices being cut by ₹2 per litre each just before general elections were announced. This together with a drop in product cracks or margins on relatively stable crude oil prices led to a fall in profits.
Cracks -- the difference between raw material crude oil and final product price -- have shrunk from highs of 2022-23.
Shares of Hindustan Petroleum Corporation Ltd dropped over 7.51% to ₹374.35 apiece on the NSE on Friday. The stock opened at ₹406 and touched an intraday low of ₹372.90, in the session so far.
Hindustan Petroleum Corporation Ltd is mainly engaged in the business of refining of crude oil and marketing of petroleum products, production of hydrocarbons as well as providing services for management of E&P Blocks.
Related News
About The Author
Next Story